“When it comes to compensation, a larger pay packet isn’t always better. What matters is the ability to afford useful things that enrich our lives,” said Glassdoor’s Chief Economist, Dr. Andrew Chamberlain in the report.

“Average wages vary considerably from one country to another but the gap between take-home pay and price levels has more relevance to the man on the street. A low cost of living, as you would find in Greece and Portugal, doesn’t count for much if average wages and purchasing power are similarly low.”

Business Insider took a look at the top 13 countries which have the highest standard of living in Europe:

11. France — Annual wages in France are relatively modest and are ranked 6th from the bottom of the average nominal annual wages index provided by Glassdoor.

10. Britain — Glassdoor says the average annual wage in the UK is also at €41,000 (£31,800, £46,380) but it has some of the highest costs to live out of the entire index. London is the third city in the index for having the highest cost of living.

8. Ireland — The country's wages are highly competitive compared to its European peers and Purchasing Power Parity (PPP) adjusted wages, are almost as high in Ireland as in Switzerland.

7. Norway — "Countries with a high cost of living in their major cities do not necessarily offer the highest standard of living, as can be seen in the case of Norway," says Glassdoor. Basically pay is high at €61,000 but a lot of it goes on rent and local goods.

6. Finland — The Finnish rank near the top because although their income is pretty high, the amount they spend on groceries, restaurants, transportation, utilities, and rent, still leaves them with decent disposable income.

4. Sweden — The cost of local goods and services (including food, transportation, and rent) is relatively modest when you compare it to take home pay.

3. Germany — Glassdoor says "interestingly, Germany comes in third, despite average nominal wages in the country being relatively low compared to the other countries in the study. This suggests that purchasing power for average earners is high in Germany."

2. Denmark — "What matters ultimately for standard of living is the gap between take-home pay and price levels," says Glassdoor. Despite Denmark being middle-tier for income, the cost of living is a lot lower than some of its European peers, meaning citizens are able to have more disposal income.

1. Switzerland — The Swiss earn a lot but can also afford a lot too. Glassdoor says "in Switzerland, the average city-based worker can afford to buy around twice as much as his or her equivalent in New York City."